Sarkozy is undermining me, says Mandelson

Wednesday 2 July 2008 04.30 EDT
First published on Wednesday 2 July 2008 04.30 EDT

Peter Mandelson, the European Union trade commissioner, has accused the French president, Nicolas Sarkozy, of "undermining" him in his bid to secure a deal for Europe in the world trade talks.

Mandelson spoke out on last night's Newsnight in response to comments Sarkozy made on Monday in a television appearance to mark France's accession to the six-month presidency of the EU.

Sarkozy has taken a rhetorical swipe at Mandelson before, at last month's summit of EU leaders. But the trade commissioner's latest comments suggest that their relationship is significantly deteriorating.

On Monday the French president accused Mandelson and the World Trade Organisation chief, Pascal Lamy, of trying to force a deal on the EU that would be bad for its farming sector, and said he would not accept an agreement if it meant European agriculture being sacrificed in the name of freer trade.

Mandelson responded by saying he had a mandate from all 27 EU member states to offer to phase out trade-distorting export subsidies and reduce some import tariffs as part of a deal to drive out protectionism and help developing countries feed themselves.

In a highly unusual rebuke to the EU's president, he told BBC2's Newsnight: "I am being undermined and Europe's negotiating position in the world trade talks is being weakened and I regret that.

"It is very disappointing because the mandate on which I am negotiating in the world trade talks - and trying on Europe's behalf to bring them to a successful conclusion - has been agreed by all the member states.

"Only at last week's European Council it was again recorded that the EU wants these talks to be brought to a speedy and successful conclusion with a fair and balanced outcome. I regret that Mr Sarkozy's intervention last night will make it harder for me."

Mandelson warned that disunity within the EU would get in the way of progress towards a successful conclusion to the seven-year Doha Round of WTO talks at a ministerial meeting in Geneva later this month.

"If we fall back and retreat from our position, that is simply going to result in others stepping back from their own offers, walking away from the negotiating table, and it will bring the world trade talks to almost certain collapse," he warned.

"And we will see that collapse at the ministerial meeting that is going to take place in a few weeks' time in Geneva. That's how urgent this is."

Mandelson said he was "mystified" by Sarkozy's decision last month to point the finger of blame at him for the Irish no vote, which has provided the French president with a major headache during his six-month stint chairing the European Council.

He described Sarkozy as "a man of great energy and dynamism (with) the ability to unite the EU and offer it leadership" on issues like the Lisbon treaty, climate change, energy security and defence.

But he added: "French leadership is very important indeed, but it can only bring the success we want and the progress we want in Europe if the member states are united rather than divided, which is why I regret the undermining of my own position at what is a very crucial time in the world trade talks.

"This is going to succeed or fail in the coming weeks. Our negotiating strength in Europe comes from our unity.

"I hope the unity of the EU in the trade talks will be properly repaired, and the person who can most contribute to that is President Sarkozy."